Lily took out a 5-year loan from the bank for $31,000 to purchase a new car. At the end of the loan, she had paid a total of $37,975. Find the interest rate on the loan.

=24.5%

Step-by-step explanation:

Simple interest = (principal*rate*time) : 100. * brackets first * transpose the formula to make rate the subject: rate = (100*simple interest) : (principal*time) plug in values: rate = (100*37975) : (31000*5) the result is 24.5%